ALMERE, the Netherlands (BRAIN) — Pon Holdings continues its buying spree with the addition of Union Bicycles to its fast-growing Pon Bicycle Group division.
The international trading and service company has acquired the Dutch manufacturer of city, lifestyle and e-bikes in business for more than a century. Pon will market the brand in the Netherlands and other Northwest European countries, the company said in a press release. The acquisition allows Pon to grow in multiple segments in Western Europe.
“In a short period of time we’ve grown to become a significant player in the European bicycle market. With the acquisition of Union we’ve strengthened our market position and are able to offer our retail partners an even more complete, premium quality product line," said Janus Smalbraak, chairman of Pon's executive board.
Pon plans to extend and strengthen the Union brand in the coming years and will continue partnering with the Dutch dealer network.
Union dates back to 1904, and saw its heyday in the 1960s when it was producing around one million bikes in the Netherlands. In 2005, it was acquired by the Dutch Bicycle Group, an arrangement that strengthened its business through an agreement to sell Union through retail giant Halford’s in the Netherlands and Belgium. The brand is also sold in Germany, and in 2011, began exporting one classic model to the U.S.
“People were really enthusiastic about the brand and therefore Union decided to add some more models for 2012. Especially since the demand for Dutch bicycles is growing in foreign countries,” according to Union’s website.
Union Bicycles is the fourth brand under Pon’s bicycle group in addition to Cervélo, Derby Cycle and Gazelle. Pon, a family owned powerhouse in the Netherlands with annual revenue around 7 billion euros, first entered the bike business with its acquisition of Gazelle in mid-2011.